Summer Q&A
Housing New Zealand chief executive Glen Sowry
What was you first job? When I left school I trained as an electrical apprentice in Wellington with a small family firm of electrical contractors. What did you learn from it? Apart from the obvious technical skills gained, I learned about work ethic and the importance of quality and customer service. In a small company their reputation was their livelihood. I was also working solo relatively early in my apprenticeship (which you could do in those days) and was focused on productivity. What was the best advice you got from your parents? Early in my days as a competitive sailor in Wellington, I was racing P class against a contemporary who I frequently had very tough battles with. In one particular race I was pipped on the finish line by this guy and came ashore and complained to my father about how lucky he had been to which my father replied quick as a flash: “Glen, you’ll discover in life that luck has a habit of following those that work hardest for it.” I’ve never forgotten that advice. I also feel a little better these days that the guy who was “lucky” and pipped me went on to win four America’s Cups and an Olympic gold medal — Russell Coutts. How will you relax over the summer break? I’ll be mixing it up with a bit of travel to visit family, including to Adelaide, where I will be doing my best to contribute to the South Australian viticulture economy, and back home relaxing on a beach and reading some books. What are the big challenges ahead for 2016? Maintaining stability in the Auckland housing market to ensure there is a soft landing when the inevitable correction [comes], in what has been an overheated market, will be critical to both the Auckland and wider New Zealand economy. Underlying demand for housing supply in Auckland — especially with strong net migration — should ensure the fundamentals of the market remain relatively stable to offset the cooling effect of the recent tax and law changes which have definitely taken the speculative froth off the top of the market. For your company? I’ve got a very busy first six months ahead. I’m committed to ensuring that Housing New Zealand is in great shape and well-prepared to cope with the changes that the Government’s social housing reform programme is bringing to the sector and of course assisting the new board with a CEO transition. In mid-April, I will start my new role as CEO of Metlifecare and will need to immerse myself into the business quickly. A major priority will be to ensure the company has the resource and focus it needs to deliver on the ambitious asset build programmes under way. Growing capacity with some great new villages will be key to success and drive performance for years to come. Metlifecare is very well-positioned with a solid brand and operation and I look forward to seeing where we can take that further next year and beyond. And for the wider economy? The economy seems to be stable with strong employment and fundamentals. A gradual cooling of the Auckland housing market could effect wider consumer confidence but coming off the record levels of recent years that is not a bad thing for sustainable growth and affordability in the future. Continuing shortages of skilled trades is a concern for the economy with the inflationary pressures this creates, especially in housing supply. Investing in trades training and attracting school leavers into trades must continue to be a focus.